Canada Post is going ahead with a broad restructuring mandated by the federal government, including ending home delivery and slashing the number of post offices.
In a press release Monday, the Crown corporation said it has invited the union representing 55,000 postal workers to hear the goals and timelines for its plan.
“We continue to work closely with the government on the details of our proposed transformation plan,” Canada Post said. “At the same time, given the government’s direction to begin taking initial steps, we are reaching out to (unions) to consult on our approach to several proposed changes.”
Canada Post didn’t provide any numbers, including potential layoffs, or how many post offices could be closed.
After discussions with unions, including the Canadian Union of Postal Workers and the Canadian Postmasters and Assistants Association, the Crown corporation said it would reach out to municipalities across the country to discuss timelines and potential locations for community mailboxes to replace home delivery in areas that still have it.
“We are also collaborating with the government on updates to our delivery standards for letter mail, which will require amendments to the Canadian Postal Service Charter,” Canada Post added.
CUPW didn’t immediately reply to a request for comment.
Canada Post said it will still provide home-delivery service for people who still need it, including seniors or people with mobility issues. The delivery accommodation program requires “supporting documentation” as part of any application.
In late September, the federal government gave the green light for a broad restructuring of Canada Post, including elimination of home delivery, increased use of community mailboxes and shuttering of some rural post offices.
Joël Lightbound, federal minister of Government Transformation, Public Services and Procurement, said the restructuring was necessary to fight an “existential crisis” faced by the financially struggling Crown corporation.
Many of the changes approved by the minister were recommended in a May report by the Industrial Inquiry Commission led by veteran mediator William Kaplan.
Within hours of Lightbound’s September announcement, CUPW launched its second national strike in a year. That strike was subsequently downgraded to a series of rotating regional strikes.
On Nov. 7, the Crown corporation gave the federal government its implementation plan for the restructuring, but said it wouldn’t make details public until the plan is finalized and approved.
The union has said the restructuring would lead to service cutbacks and job losses.
Canada Post CEO Doug Ettinger reiterated before a parliamentary committee in December that the Crown corporation is expecting 16,000 employees to retire or take voluntary departure by 2030, with another 14,000 leaving by 2035.
This is a developing story.
